FINANCIAL MONITORING IN TURKEY

FINANCIAL MONITORING IN TURKEY

Financial monitoring in different countries has a different degree of meticulousness and rigidity, but one simple fact is obvious to me – in neighboring countries, the Turkish system is the simplest and most friendly to the client. It is built in such a way as to reduce both the tax and bureaucratic burden on the foreign buyer or shift this responsibility to someone else – the real estate agency. It’s fast, simple, convenient, and reliable.

Financial monitoring in Turkey

An important aspect of the prevention of money laundering is that money obtained illegally is not illegally introduced into non-cash payment transactions and thus creates the impression of a legitimate origin of their acquisition. To facilitate the fight against money laundering, banks, savings banks, and other financial service providers are required to verify the source of funds for large payments. To this end, banks and other financial institutions must implement comprehensive security measures. Each bank can decide for itself what measures it takes and when it considers it necessary to check the legality of the origin of cash.

What is transaction monitoring in banks?

Transaction monitoring is the means by which a bank monitors the financial activities of its customers for signs of money laundering, terrorist financing, and other financial crimes. The process of monitoring transactions should allow banks to understand who their customers are doing business with and reveal important information about the transactions themselves: how much money is involved, where they are sent, and so on. Transaction monitoring in banks is an important part of the AML/CFT system as it allows them to keep pace with criminal methodologies and ensure compliance with their risk-based compliance obligations.

With this in mind, in order to effectively monitor transactions, banks should aim to collect the following data:

• Amount of funds involved in customer transactions
• The frequency with which clients participate in transactions
• Senders and recipients of transaction funds
• Geographic origin and purpose of the funds involved in the transaction
• Correlation between the transaction and the expected financial behavior of the client
• Involvement in the transaction of high-risk factors such as targets of sanctions, politically exposed persons, or blacklisted jurisdictions.

Our banking lawyer will advise you on the following issues:

• How much money can be deposited into a Turkish bank account?
• What works when the bank has requested documents on the origin of funds?
• What documents confirm the origin of funds?
• Where can I get documents confirming the origin of funds?
• What to do if there are not enough documents on the origin of funds?
• How to withdraw (return) blocked funds in a Turkish bank?
• How to close a bank account?
• How to legally circumvent financial monitoring in Turkey?
• What if there is no source of funds?
• How to pass financial monitoring in a Turkish bank?